U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 3
INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES
1. Name and Address of Reporting Person
State Farm Mutual Automobile Insurance Co.
1 State Farm Plaza
Bloomington, IL 61710
2. Date of Event Requiring Statement (Month/Day/Year)
9/4/98
3. IRS or Social Security Number of Reporting Person (Voluntary)
37-0533100
4. Issuer Name and Ticker or Trading Symbol
The Newhall Land & Farming Company NHL
Relationship of Reporting Person to Issuer (Check all applicable)
( ) Director (x) 10% Owner ( ) Officer (give title below)
( ) Other (specify below)
If Amendment, Date of Original (Month/Year)
<TABLE>
<CAPTION>
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Table I -- Non-Derivative Securities Beneficially Owned
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1. Title of Security |2. Amount of |3. Ownership |4. Nature of Indirect |
| Securities | Form: | Beneficial Ownership |
| Beneficially | Direct(D) or | |
| Owned | Indirect(I) | |
___________________________________________________________________________________________________________________________________|
<S> <C> <C> <C>
Depositary Receipts |3400758 |D | |
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<CAPTION>
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Table II -- Derivative Securities Beneficially Owned |
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1.Title of Derivative |2.Date Exer- |3.Title and Amount | |4. Conver-|5. Owner- |6. Nature of Indirect |
Security | cisable and | of Underlying | |sion or |ship: | Beneficial Ownership |
| Expiration | Securities | |exercise |Form of | |
| Date(Month/ |-----------------------|---------|price of |Deriv- | |
| Day/Year) | |Amount |deri- |ative | |
| Date | Expira- | |or |vative |Security: | |
| Exer- | tion | Title |Number of|Security |Direct(D) or | |
| cisable | Date | |Shares | |Indirect(I) | |
___________________________________________________________________________________________________________________________________|
<S> <C> <C> <C> <C> <C> <C> <C>
___________________________________________________________________________________________________________________________________|
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</TABLE>
State Farm Mutual Automobile Insurance Company
SIGNATURE OR REPORTING PERSON
William J. Hess, Assistant Secretary
DATE
9/11/98
